Question : ADDITIONAL EXPENSES BY DDA

(a) whether attention of the Government has been drawn to the newsitem captioned `DDA Ne Majdoori Dene Me Deri Kar 7.59 Crore ka Ghata Udhaya` appearing in the `Navbharat Times` dated June 5,2000;

(b) if so, the fact of the matter reported therein;

(c) whether any inquiry has been conducted or is being conducted by the Government to ascertain whether the loss occurred due to negligence of someone;

(d) if so, the details thereof; and

(e) the action being contemplated by the Union Government against the erring employees/officers in this regard?

MINISTER OF URBAN DEVELOPMENT & POVERTY ALLEVIATION ( SHRI JAGMOHAN )

(a): Yes, Sir.

(b)to(e): The DDA allotted work relating to construction of 520 MIG Flats in Sector-18, Rohini, Delhi. No specific time for approval of drawings was given. One week time had been given to the contractor to submit the drawings. As drawings had to be got approved from various agencies like DUAC, etc., the same were got approved after eight months.

Of the 102 blocks on which work was to start, 9 blocks could not be taken up because of the high tension and low tension underground cables. The work on 93 blocks was taken up unhindered.

The first construction agency failed to complete the work and the work was rescinded. The work was, thereafter, awarded to the second construction agency. Therefore, the price escalated. The DDA encashed the bank guarantee of the contractor amounting to Rs.81.70 lakhs on rescinding the work on 2.11.1994 against which the contractor went to the High Court. The work has since been completed on 18.9.1999 and possession of more than 50% flats has been handed over.

The excess cost of Rs.7.29 crores incurred is to be reclaimed by arbitration as per the terms and conditions of the agreement. The work has been audited by the DACR Party and in case of observation of negligence, action accordingly can be taken.